Over the course of the extended trading session, Genmab A/S (NASDAQ: GMAB) saw a notable boost in its shares, rising by 6.30% to $29.37. The stock saw a 1.18% decline during the normal session, but this increase more than made up for it; it closed at $27.63. The impetus behind GMAB stock’s upward trajectory was the disclosure of significant trade sales by the company.
According to a recent release from Genmab (GMAB), Johnson & Johnson’s subcutaneous (SC) product was included in the DARZALEX (daratumumab) worldwide net trade sales, which reached USD 9,744 million in 2023. Remarkably, the global trade earnings amounted to USD 4,467 million, with the United States contributing USD 5,277 million.
Genmab has forged over 20 strategic alliances with biotech and pharma firms for pioneering antibody therapies catering to patients. Genmab gains royalties from the worldwide sales of DARZALEX, encompassing both IV and SC variants. This is due to Janssen possessing an exclusive global license to develop, manufacture, and market daratumumab granted by Genmab.
Furthermore, Genmab disclosed the denial of their appeal by the arbitration referee in the second dispute regarding the daratumumab licensing deal with Janssen Biotech, Inc. Consequently, the resolution of Genmab’s claims in this second arbitration has reached its conclusion.
The appeal arose from the tribunal’s 2-1 decision rejecting Genmab’s claims, contending that these issues should have been raised in the prior arbitration between Genmab and Janssen. Genmab’s claims centered on its contention that the subcutaneous formulation of daratumumab constitutes a new licensed product under the agreement.
These claims encompassed both a demand for milestone payments related to SC daratumumab and a request for a new 13-year royalty term, on a country-by-country basis, starting from the date of the initial commercial sale of SC daratumumab in each respective country. It’s worth noting that the outcome of the arbitration appeal will not impact Genmab’s forthcoming financial guidance for the year 2024.
